The career outlook for financial managers is very good, and many wonder if they can be a financial manager with a Bachelor’s in Business Administration. The good news is that there are several paths towards becoming part of this popular and lucrative field. Earning a Bachelor’s in Business Administration prepares candidates to not only work as financial managers but in a variety of similar yet different jobs. Here is an overview of becoming a financial manager and what the career all entails.
Financial Manager Education Requirements
One can become a financial manager by earning at least a bachelor’s degree in business administration, economics or accounting. The aspiring financial manager should also have several years of experience working in a financial or business occupation. These four-year programs teach students how to work not only in a financial setting but in various industries. Financial managers are not required to be certified, but many voluntarily obtain certification to improve their employment options. The Association for Financial Professionals and the CFA Institute both offer certifications for financial professionals.
What Financial Managers Do
Financial managers are in charge of an organization’s financial health. They produce business activity reports and financial statements telling the company where they stand while also developing strategies to help the organization reach its long-term financial goals. Financial managers monitor financial details, supervise employees doing the budgeting and look for ways to reduce expenses. They also analyze market trends and help management make sound financial decisions.
Type of Financial Managers
Although people typically think of financial managers as working in banks and similar financial institutions, they can be found in many industries. They’re hired by various organizations and perform the duties that are specific to that industry or organization, whether it be healthcare, government or manufacturing. Here are a few different types of financial managers.
- Finance officers – oversee fund investments and coordinate an organization’s budget so the company can meet their financial goals
- Controllers – prepare financial reports that predict and summarize a company’s financial status, such as balance sheets, income statements, profit and loss statements, and analyses of future expenses and earnings
- Credit managers – monitor the collection of past-due accounts, determine credit caps and set credit-rating criteria
- Cash managers – control and monitor the cash flow that enters and help the company meet its investment and business needs
- Risk managers – uses hedge funds and similar strategies; help control a company’s financial risk
- Insurance managers – determine how to decrease a company’s losses by obtaining insurance covering such risks
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As the economy continues to grow, it’s never been a better time for financial managers. These professionals are expected to see job growth of 19 percent during the decade of 2016-2026 as reported by the U.S. Bureau of Labor Statistics. The Bureau reports that financial managers earned an average annual wage of $143,530 as of May 2017. Financial managers earned the highest wages in the states of New York, New Jersey, Delaware, District of Columbia and Connecticut.
The growing economy has made employment very exciting for financial managers as their main job is helping individuals and companies invest money and make more money. An individual who wants to be part of this exciting field can accomplish his or her goals by earning a Bachelor’s in Business Administration and hitting the job market.